• Alison Kaigan

What does a mortgage broker do?

Sometimes there’s some confusion about what a mortgage broker does, why you would use

one, and if you have to pay for it. A mortgage broker is the liaison between you and the lender, whether it be a bank, credit union or other mortgage provider. A broker can access a large number of different mortgages and can help shop around to help you get the best rate.

I’ve heard people say before, “an internet comparison site can do that, so why would I use a broker?” An internet comparison site can compare rates, but they generally can’t compare other things. And here’s a few other important things that can might be relevant when finding a mortgage:

- If you’re self-employed it can be harder to prove reliable income. Some banks may be more ‘friendly’ towards the self-employed than others.

- You might need your new mortgage to be flexible in order to allow refinance in the near term, there can be fees that apply and they may vary amongst mortgages.

- You might have a limited amount set aside for a deposit. Different mortgage providers have different requirements for lower deposit loans.

- A mortgage broker can check if you are likely to be approved for the loan or not BEFORE actually applying for the mortgage. This can save you from having a ‘decline’ on your credit record.

- Structuring your mortgages. If you are taking out a second mortgage care needs to be given as to how they are structured. A mortgage broker can help you understand this.

A good mortgage broker will shop around not only for a competitive interest rate but also for a mortgage that will suit your circumstances in other ways. And if you’re a first home buyer the process can be daunting – a good mortgage broker will guide you through and educate you along the way.

So, do I do mortgages? No, as a financial adviser that’s not one of the areas that I cover. But if you need help with this I do suggest you speak with a mortgage broker about your situation.

Alison Kaigan – Your Canberra Financial Adviser


Phone: (02) 8081 0208

Postal Address:

PO Box 5165 Lyneham ACT 2602 

Business Address:

Level 9, Nishi Building, 2 Phillip Law St, New Acton ACT 2602

Genki Finance is an Authorised Representative of RI Advice Group Pty Ltd ABN 23 001 774 125 AFSL 238429. This information is of a general nature only and has been provided without taking account of your objectives, financial situation or needs. Because of this, we recommend you consider whether the information is appropriate in light of your needs and circumstances. No responsibility is taken for the accuracy, timeliness or completeness of information. The information (including taxation) on this website does not consider your personal circumstances and is of a general nature only. You should not act on the information provided without first obtaining professional advice specific to your circumstances. The views expressed are solely those of the author, they are not reflective or indicative of RI licensees’ position and are not attributed to RI Advice Group. They cannot be reproduced in any form without the written consent of the author.

 To view the RI Privacy Policy please go to www.riadvice.com.au/privacy-policy

©2018 by Genki Finance. Proudly crafted by Amago

  • White Facebook Icon